Smashbox saves a beautiful $375,000

Cosmetics company cuts 31% from $1.2 million delivery expenses

Smashbox Cosmetics was created by brothers Dean and Davis Factor, great-grandsons of makeup legend Max Factor. The company grew out of Smashbox Photo Studios, where celebrities arriving for photo shoots asked the brothers to create makeup for them. Today, Smashbox Cosmetics manufactures a full line of beauty products sold in 40 countries.

Consultants from Expense Reduction Analysts (ERA), who know about the beauty of savings, were invited to review Smashbox’s shipping expenses. The company delivers orders to customers using Small Package Freight and ships products to distributors using less-than-truckload, or LTL Freight.

Patricia Boucher, CFO of Smashbox Cosmetics, explains that she was "initially hesitant with the time commitment on our end." Ultimately, her staff spent about 20 hours on the project—saving $18,750 for every hour invested. "The ERA team...took the time to meet with various stakeholder groups (operations, shipping, IT, billing) to ensure that our business process was understood and any specific service or quality requirements were discussed and incorporated in the RFP process.

"Once they identified the savings and we approved their recommendation, they made sure our user groups were part of the implementation process," Boucher commented. "The ERA team continued to be involved in the execution process, meeting with our team and the supplier team as required, until the transition was complete."

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